With a Dependent Care Flexible Spending Account, you can set aside part of your pay on a pre-tax basis to pay for eligible dependent care expenses like child care, babysitters and adult day care. Eligible dependents must be claimed as an exemption on your tax return.

The 2024 dependent care contribution limits are as follows:

• Pre-tax contributions increase to $10,500 (up from $5,000) for single taxpayers and married couples filing jointly
• Pre-tax contributions increase to $5,250 (up from $2,500) for married individuals filing separately

Highlights

• Eligible dependents must be children under age 13 or an adult dependent incapable of self care.
• Contributions are not loaded upfront. Funds become available as contributions are made to your account.
• Receipts are not required for reimbursement, but be sure to save them for tax purposes.
• Balances will be forfeited at the end of the runoff or grace period.